COMMONWEALTH Bank became the first big bank to raise interest rates on standard variable loans in 2010, lifting its benchmark rate by 25 basis points to 6.86 per cent.
CBA said it would increase interest rates on a range of deposit and variable home loan accounts, reflecting recent increases in market interest rates and wholesale funding costs.
New SVR home loan rates will affect new and existing customers from March 5.
The deposit interest rate on the NetBank Saver and Business Online Saver accounts will increase by 25 basis points also on March 5, Sydney-based CBA said.
The move by Australia’s biggest lender comes after the Reserve Bank raised the official cash rate by 25 basis points to 4 per cent – the highest level in a year.